ARTICLE 2 #SUGAR EXPORT

March NY world sugar #11 (SBH26) on Wednesday closed down -0.47 (-2.83%), and December London ICE white sugar #5 (SWZ25) closed down -15.50 (-3.31%).Sugar prices sold off sharply on Wednesday, with London sugar posting a 1-week low. The outlook for higher sugar production in Thailand is undercutting sugar prices after the Thai Sugar Miller Corp on Wednesday projected that Thailand's 2025/26 sugar crop will increase by +5% y/y to 10.5 MMT. Thailand is the world's third-largest sugar producer and the second-largest exporter of sugar.

Sugar prices settled sharply higher on Thursday due to concerns over lower sugarcane yields in Brazil. Unica reported Thursday that Brazil's Center South sugarcane crush in the first half of September was up +6.9% y/y to 46 MMT. However, the sugar content in the cane declined, signaling lower sugar production as the sugar content in crushed cane dropped to 154.58 kilogram per ton (kg/ton) versus 160.07 kg/ton a year earlier.